Gentiva closes on Odyssey acquisition

Home health and hospice company Gentiva Health Services, Atlanta, said it closed on the approximately $1 billion purchase of hospice provider Odyssey HealthCare, Dallas. The deal, first announced May 24, was approved by Odyssey stockholders at a price of $27 cash per share on Aug. 9.

Gentiva said it raised about $1.1 billion in new debt to fund the purchase price and refinance existing debt. That included $325 million in privately sold senior notes and $780 million from a new credit facility, according to a Gentiva news release. The combined companies would have had revenue of $1.88 billion in the year ended July 4, with about 59% of revenue tied to home health and 41% to hospice, according to Gentiva.